APOC Targets Engines, Landing Gear Growth Through New Financing
APOC Aviation has obtained an ongoing finance facility from Anglo-South African investment group Investec that will target the purchase of new lease assets.
Barry Lemmers, chief financial officer at APOC Aviation, says the company will prioritize finding “suitable” landing gears and engines to fit within the Netherlands-headquartered company’s lease portfolio that it hopes to expand. Typically, APOC offers assets on both short-term and long-term lease models.
The aircraft part-out, trading and leasing company says its private equity firm Egeria, which has been its majority shareholder since October 2020, has previous links to Investec, having worked with the finance company on some of its other portfolios.
To begin with, the finance facility would start off relatively small but could be expanded over time, Lemmers says. He adds that APOC was talking to multiple financiers about growing its engines and landing gears stock, but it opted for Investec due to flexibility in the structuring and timing of the deployment of the financing.
Since Egeria bought into APOC last year, the company has continued to buy up used engines over the past 12 months with a focus on CFM56-3, -5A, -5B, -7B and V2500-A5 models. It has done similar for its landing gears after establishing a designated division for assets on Airbus A320 and Boeing 737 aircraft in March 2020.
This year has also seen capacity growth with the expansion of its warehouse in Berkel en Rodenrijs in the Netherlands and the opening of a new facility for parts storage in Miami last month.